Overtime Charges for Customs/Excise (officers) supervision for export
Ahmedabad II Commissioner clarifies that all EOUs /EHTP/STP units opting out of the cost recovery charges scheme shall be required to pay MOT for Customs /Central Excise related work even during office working hours. The rate of MOT are specified vide Customs (Fee for Rendering Services by Customs Officers) Regulations, 1998, issued vide Notification No. 69/98/-Cus (NT) dated 04-09-98. These rates may, however, change from time to time.
The Commissioner also clarifies that in respect of the units working under the SRP scheme (other than EOUs) who are utilizing the services of the C. Ex. Officers to perform the services of supervision, stuffing and sealing of the export containers at their factory premises, MOT charges are required to be collected because no distinction can be made from an EOU/EHTP/STP and others as regards the rendering of the services by the departmental officers are concerned. Such MOT charges will be charged both in respect of normal working hours and other hours.
However, the Commissioner informs that the exporter can avail the facility of self-sealing as prescribed by the circular No. 736/52/2003-CX., dated 11.08.03.
So the exporter has to calculate whether it is cheaper to get the goods examined by the Central Excise officers at the factory or have them ripped through by the Customs at the ports. Many exporters find the excise supervision cheaper.
TRADE NOTICE NO Dated : April 25, 2007 of THE COMMISSIONER OF CENTRAL EXCISE II, AHMEDABAD